Unfortunately it doesn’t look like you qualify for any of the solutions we offer, but there are other ways you can get help with managing your money
Unfortunately it doesn’t look like you qualify for any of the solutions we offer, but there are other ways you can get help with managing your money.
A credit counselling agency is an organization that specializes in helping people improve their financial situation and in certain situations help eliminate your debts.
Credit counsellors can help by providing the tools and resources for you to create a realistic budget, manage your bills, and teach you how to use credit sensibly without being over reliant on borrowing. They also offer a Debt Management Plan that allows you to pay off your debts over 24 to 48 months.
Credit counselling agencies can charge fees, depending on which of their services you use.
The most important thing is to do your research, make sure you trust the agency you choose, and ensure that any fees you may have to pay fit comfortably within your budget.
You can find more about credit counselling by visiting the website for the Ontario Association of Credit Counselling Services or the Canadian Association of Credit Counselling Services.
If you’re a homeowner struggling with debt and you hold a significant amount of equity in the property, you may be able to refinance your mortgage or get a secured line of credit to pay your debts.
You can speak to your existing mortgage holder to see if they will renew your mortgage at a higher amount to allow you to pay off your debts. You could also speak to a new mortgage holder to see if they will refinance your mortgage to allow you to pay off your debts. Be aware that there could be costs or penalties to get out of your existing mortgage. You also need to be aware of the difference in interest rates between your existing mortgage and a new one.
Just like a mortgage, a secured line of credit is secured against you house. It provides more flexibility than a mortgage. If you qualify, you could consider getting a secured line of credit to pay off your unsecured debts. The interest rate on a secured line of credit is typically higher than a mortgage, but lower than the interest on your unsecured debts.
If you’re having money trouble but you don’t own your own home, there are still debt relief options available to you.
The Government of Canada website is a useful resource for information on money management, and can help you decide on your next step.